Manitoba Hydro has filed a General Rate Application (GRA) with the Public Utilities Board of Manitoba (PUB), proposing a 3.5 percent electricity rate increase for each of the years 2026, 2027, and 2028.  

The application, submitted on Friday, March 28, outlines the utility’s plan to implement the first increase on January 1, 2026, followed by subsequent increases on January 1, 2027, and January 1, 2028. Notably, Manitoba Hydro will not seek a rate increase in 2025, adhering to the provincial government’s rate freeze.

According to the application, if approved, the proposed increases would result in the following average monthly bill impacts:

• Residential customers using 1,000 kWh per month:
  • $3.69 increase in 2026
  • $3.81 increase in 2027
  • $3.94 increase in 2028
• Residential customers using 2,000 kWh per month:
  • $7.05 increase in 2026
  • $7.28 increase in 2027
  • $7.53 increase in 2028

This application follows a 1 percent rate increase implemented in April 2024.

Manitoba Hydro President and CEO, Allan Danroth, acknowledged the financial strain on Manitobans. “We realize this is a challenging time for Manitobans already paying higher prices for many goods and services,” said Danroth. “Manitoba Hydro is also facing increased costs and the rates we’re requesting will ensure we can continue to provide safe, reliable energy now and into the future.”  

The utility cited several factors contributing to the need for rate increases, including:

• Drought and low water levels: These conditions have significantly impacted Manitoba Hydro’s ability to generate and sell surplus energy, resulting in net financial losses in two of the last three years.  
• Aging infrastructure: The utility faces substantial costs to maintain and upgrade aging assets, particularly the Bipole I and Bipole II converter stations, which are critical components of the high-voltage direct current (HVDC) system. These stations, designed for a 35-year lifespan, are now 55 years old and require significant component replacements.  
• HVDC system importance: Danroth emphasized the importance of the HVDC system, which transports electricity from northern generating stations to southern Manitoba. “As such, we need to ensure that system continues to operate reliably and safely not just today and tomorrow, but 10, 20 or 30 years from now,” he said.  

The PUB will review Manitoba Hydro’s application and determine whether the proposed rate increases are justified.

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